We have been advocating the management of Natural and Paid
Search campaigns as a joint strategy since before the launch of The
One Platform. In fact, it was precisely this notion which led
us to create a technology that could facilitate this.
Why? For us there is a simple reason: potential and existing
customers experience Search as a seamless list of relevant results
to their query - few differentiate between Natural and Paid
results.
There is another incentive to run these two channels
cooperatively, if Google's moves in the market are anything to go
by. Over the course of the past few years we have seen
changes in the search engine result pages (SERPs) that are further
blurring the line between Natural and Paid Search channels; we have
also seen metrics such as Quality Score increasingly rely on what
have traditionally been perceived as Natural Search metrics such as
Relevancy. A recent development, the introduction of Dynamic
Search Ads (albeit in Beta for the U.S. from October 2011) further
confirms this rapprochement between the two disciplines.
What are Dynamic Search Ads?
As the name suggests, Dynamic Search Ads are ads that are
generated dynamically by Google predominantly based on a website's
content. Google takes natural search information gathered by
its crawl and defines the keywords that your site could potentially
appear for in Paid Search results. When a user types a query,
Google determines (very much along the same lines as with Natural
Search results) whether your site is relevant to that query and
automatically generates and serves an ad based on the site's
content and the ad template criteria predefined by the advertiser.
(See below)

Source:
http://adwords.blogspot.com/2011/10/introducing-dynamic-search-ads-beta.html
Dynamic Search Ads can be run in conjunction with non-dynamic
campaigns (i.e. campaigns that a Paid Search specialist has defined
in the standard way) to supplement impressions and clicks to the
website or uncover new queries not previously targeted. They
are also meant to simplify the management of AdWords campaigns for
those who simply don't have the resource to plan, deploy, monitor
and update multiple campaigns covering thousands of potential
keywords.
However, running Dynamic Search Ads without the appropriate
reviews and checks in place has an inherent risk: potentially
decreased Return on Ad Spend (ROAS) for the advertiser.
But the interest of this post is not to delve in the advantages
or disadvantages of Dynamic Search Ads. We are instead much
more interested in the paradigm shift that Dynamic Search Ads
appear to confirm.
Why do Dynamic Search Ads matter to Search Engine
Marketing?
Leaving the benefits and downsides of running Dynamic Search Ads
aside for a second, Dynamic Search Ads matter because the ability
to run such ads successfully entirely depends on the overall state
of a website from what has traditionally been a Natural Search
point of view:
- Without
good performance from an Accessibility standpoint, for example, the
indexing of content that defines whether a website could be used
for x or y query in Dynamic Search Ads could be severely
affected.
- Even if Accessibility issues are
not a hindrance, the lack of good quality, relevant content can
severely affect when and for which queries a Dynamic Search Ad is
generated. Relevancy may take a whole new level of importance
as it sways Quality Scores and defines the ads that could be
potentially served using the alternative: Dynamic Search Ads.
Neglecting areas such as accessibility and relevancy of a
website could limit the choices for testing and discovering new
opportunities online that could be potentially derived from running
Dynamic Search Ads. Today, it may not seem of great value to
pass on this chance; however, if anything can be deduced from
previous feature releases in AdWords, we should expect Dynamic
Search Ads to become more prevalent by 2013.
This is important since it changes the priority assigned to the
tasks performed by the Natural Search specialist and emphasises
cooperation between Natural and Paid Search teams. In fact,
this may also point at the need to not only encourage cooperation
but instead, create the right environment for knowledge transfer
between the two disciplines.
Personally, I believe that the days of planning Natural and Paid
Search strategies are coming to an end. It is becoming
incredibly apparent that if a company or agency wants to succeed in
search marketing, they will need to think of it as a single medium
with a specific set of goals - and plan the strategy and tactics
accordingly.
If you want to learn more about how to manage, optimise and
monitor Natural and Paid Search campaigns as a single integrated
strategy, get in
touch.